THE Philippines’ growing investments in knowledge-based assets are expected to improve its competitiveness and innovation capacity after the country ranked among the world’s fastest-growing economies for intangible investments, a report by the World Intellectual Property Organization (Wipo) showed.
The latest World Intangible Investment Highlights, published by Wipo in collaboration with the Luiss Business School, found that the Philippines generated US$49.1 billion in intangible investments in 2022. From 2012 to 2022, the country’s real intangible investments expanded at a compound annual growth rate of 3.9 percent, outpacing the global average of 3.5 percent.
The country’s intangible investments rebounded by 4.6 percent from 2021 to 2022 following the Covid-19 pandemic, making the Philippines the third-fastest-growing economy among the 29 countries surveyed, behind India and Japan.
Wipo said intangible assets — including research and development (R&D), software and databases, brands, organizational capital, designs and intellectual property — are becoming increasingly important drivers of productivity and long-term economic growth. Globally, investment in intangible assets is growing at nearly three times the pace of tangible investments, with the 29 economies in the study investing more than $10 trillion in 2025.
Among the Philippines’ intangible assets, R&D posted the fastest growth at 20.1 percent annually between 2012 and 2022, while software and database investments grew 18.3 percent, making the country the fastest-growing economy in that category.
Although R&D and software accounted for only about 15 percent of total intangible investments, R&D spending increased more than sixfold over the decade, while software and database investments expanded more than fivefold, reflecting the country’s accelerating shift toward an innovation-driven economy.
Organizational capital remained the country’s largest intangible asset, accounting for 48.3 percent of total investments, followed by brands at 28.9 percent. The Philippines also ranked among the world’s top 12 economies in brand investment, valued at $14.2 billion.
Despite the gains, tangible investments still accounted for 20 percent of gross domestic product, compared with 4.4 percent for intangible investments, reflecting the country’s continued focus on infrastructure while gradually increasing investments in innovation.
Intellectual Property Office of the Philippines Director General Teodoro C. Pascua said the findings come at a pivotal time as the country enters its upper-middle-income era.
“The experience of advanced economies shows that sustained investments in knowledge, technology and IP become the strongest drivers of productivity and growth,” Pascua said, adding that the country’s gains in R&D, software and brands highlight the need to strengthen innovation-supporting intellectual property policies.
The 2026 report also marks the Philippines’ first appearance in the World Intangible Investment Highlights, reflecting growing international recognition of its expanding knowledge-based economy. / KOC